Business Interruption Insurance – Ontario
Your business is your livelihood, and your ability to generate income depends on running normal operations. Your business can be at risk more than you may think if the unexpected happens. For any size of business, it may become complicated to recover from a loss. Your business may be closed for weeks from a small loss, leading to a loss in income and potentially your client base. Business interruption coverage can help you and your business weather through the time it takes to repair or rebuild your business and get back to normal.
As your local insurance experts, we know that each business in Ontario is unique in its own way. From fishing lodge operations on beautiful Lake of the Woods to small business boutiques located in the heart of downtown Thunder Bay and every business in between we’ve got you covered. With all it has to offer, it’s not hard to understand why so many people decide to set up shop in Ontario.
We understand it’s vital to protect what’s most important to you and your business. Our expert insurance advisors are here to ensure you’re protected and provide peace of mind so you can focus on nurturing your business for the future.
Why Choose Westland?
We know that your business insurance needs to match your goals, your business and your budget. Our expert business insurance advisors get to know you and your business, so that they can tailor a policy to your exact needs. We’ll work with you to build a risk management solution, ensuring coverages line up with your business needs.
We understand that insurance can be complex sometimes. Let our expert insurance advisors do the heavy lifting! We’ll help you find a policy that you feel is the best fit and provides peace of mind. To learn more about the benefits of being a Westland client, click here.
Business Interruption Insurance Explained
There’s a lot of “what ifs” that come to mind for business insurance. The major “what if” is will an unexpected loss be covered and how long until I am back to normal? A vital element of that is the timeline between loss and greeting clients back to your business. That’s where business interruption coverage comes into play. From a fire that harms your computer system and client information to a flood that damages your property, your business could come to a halt quickly. Your business’s downtime can be covered, so the financial impact of being closed isn’t detrimental to the company you’ve worked hard to build.
No matter the industry, our business insurance advisors can help you find the right coverage to ensure you’re covered for downtime resulting from an insured loss while you get back to business.
There are two main areas of coverage provided by business interruption:
- Expenses & Payments
Imagine if your business suffers a loss that leaves your business destroyed or damaged. Even if your business can’t operate and your income stops immediately, the expense will continue to roll in. Those bills will add up quickly especially when you’re not able to continue day-to-day operations to bring in revenue. Take a moment to run through your monthly expenses. Now imagine if your income ceases abruptly. Rent, electricity, client systems, tech platforms, and payments for other utilities will continue.
- Lost Net Income
With your income stream drying up, your business faces the risk of not opening the doors back up for business. While your business insurance policy will kick in to start on the necessary repairs, what happens in the meantime when you’re unable to earn income? Income that your business would have earned during a closure period due to a covered loss may be covered through business interruption insurance.
In addition to the main coverage areas, forms exist to cover different risk exposures.
- Revenue Type Forms
This form is designed to pay for losses until your business can resume normal operations or returns to full pre-loss revenue levels, or the indemnity period is finished, whichever is first.
- Extra Expense Forms
On the other hand extra expense forms are designed to cover extra costs incurred while maintaining operations. For example, renting a temporary building while your location is being repaired.
Examples of financial losses can include:
- Loss of revenue, less any expenses that don’t continue
- Loss of Rental Income, less any expenses that don’t continue
- Extra expenses that may be incurred to maintain operations.
Most business insurance policies will include business interruption coverage. The limit and type of coverage may vary from each policy. It can be added to an existing policy if not already included. Our business insurance experts are here to ensure you have the right coverage for your business.
We can help with your auto insurance needs too! Connect with us today to ensure you’re covered out on the road.
How Much Does Business Interruption Insurance Cost in Ontario?
Just as businesses differ across Ontario, so do the risks and exposures which impact the cost. The following factors will impact the cost of your business interruption coverage:
- Claims History
- Number of Employees
- Exposure to Risk
- Location of Business
Review Your Insurance and Get a Quote with Westland
Ready to discuss your insurance needs? Our expert advisors are here to review your current insurance policies, discuss your unique risks and operations, and find the perfect insurance policy for your business. Whether it’s over email, the phone or in person we are ready to help! To get started on a quote now and see price estimates for your business coverage, click the button below. Our advisors will contact you right away and help navigate your risk management needs. Of course, we are always available to talk over the phone or in person. Check out our locations page to connect with an office closest to you!
Fire is one of the most common claims we see when it comes to business interruption. For example, you own a motel and are running at full capacity when a fire causes damage to multiple rooms. It can take up to three months to get back up and running. Not only will your business not be able to operate, but there is no opportunity to generate income. The right business insurance policy will help mitigate these risks and get you back to your normal as quickly as possible.
Our goal is to find the best coverage for your business so you can focus on what’s important. To learn more about being a Westland client, click here.
10 Business Facts About Ontario
- Niagara Falls is one of the largest draws to Ontario. In fact, it welcomed 12.9 million visitors in 2017 and tourism expenditures reached a whopping $2.4 billion!
- It comes as no surprise that Toronto is a big player in the film and television production sector. Often being called the Hollywood of Canada, over 25% of Hollywood movies are filmed in Toronto.
- Fishing is a beloved past time in Ontario, but it’s also an economic driver. With over 1.12 million anglers on Ontario water a year, they spend $1.6 billion a year in the province, whether at remote fishing lodges or supporting small angling businesses.
- Ontario is one of the most multicultural places in the world. It’s home to many festivals including Caribbean Carnival, Jazz Festival and Oktoberfest. In fact, there are over three thousand festivals each year.
- Ontario has a thriving agricultural sector. The province contributes to almost a quarter of all farm revenue in Canada. The top crop productions are soybeans, corn and winter wheat.
- Forestry is another large industry in Ontario, supporting over 53,000 jobs. In fact, the forests of Ontario cover a land area close to the size of Italy, Germany and the Netherlands…combined.
- Ontario is the national leader when it comes to manufacturing. Automotive, textiles, electrical goods and farm implements contribute to an industry that employs about half of Canada’s manufacturing jobs.
- The Royal Ontario Museum is the largest in Canada, and the fifth largest in all of North America. It sees a total of one million visitors a year who stop by to see many collections in over 40 galleries.
- Another driving force for the province is the food processing industry. Ontario has over 3,000 companies that make both food and beverage products. Companies include Kraft, Nestle, Kellogg’s, Coca Cola and PepsiCo.
- With over 25,000 restaurants in Ontario, it’s not surprising that some famous dishes have originated in Ontario. The Hawaiian pizza didn’t originate from the islands of Hawaii, rather at the Satellite Restaurant in Chatham!